Post on 10-Feb-2017
Economic Impact of Mushroom Production and Value Addition on Marginal Farmers of Almora
District of Uttarakhand in India H. L. Kharbikar*, K. K. Mishra, Nirmal Chandra, M. L. Roy, Pratibha Joshi, Atheequlla GA and Renu Jethi
ICAR-Vivekananda Parvatiya Krishi Anusandhan Sansthan, Almora- 263 601, Uttarakhand, India *hukumraj.kharbikar@rediffmail.com
Objectives
Methodology
Results and Discussion
Introduction
Conclusion References
Cost benefit analysis of mushroom production and value addition.
To analyse the annual income of farmers before and after adopting the technology.
Assessment of pre and post impact of mushroom production and value addition technology, and
To evaluate socio-economic constraints faced by farmers in adoption of technology.
Present investigation was carried out in Hawalbagh, Dhauladevi, Takula and Dadimkhola blocks of Almora district in Uttarakhand.
Pre-tested interview schedule was used for data collection on inputs and necessary raw materials used by farmers.
Various constraints being faced by farmers were categorised under different socio economic groups.
Capital budgeting technique was used to analyze the economic impact of adopted technology and following analytical tools were applied for data analysis-
Economic analysis of mushroom production and value addition along with other agricultural activities
Income and employment impact after adoption of mushroom production and value addition technology
Analytical tools
To enhance the livelihood security of marginal and landless farmers, mushroom farming is better option along with other agricultural activities.
Total mushroom production of India was 1,13,315 tons (2010) and of Uttarakhand was 8000 tons (Singh et al., 2011).
Mushroom is highly perishable commodity and requires proper post harvest and value addition techniques.
The aim of present study was to analyze the economic impact of mushroom production and value addition.
GR
BCR = ------------
TC
Where, BCR = Benefit cost ratio
GR = Gross return and
TC = Total cost
Enterprises Total Cost (Rs.)
Average
productivity (Qtl.)
Average sale price (Rs./Qtl.)
Gross
return (Rs./Qtl.)
Net return (Rs./Qtl.)
B:C
Ratio
Agriculture (Rs./ha.) 47284 24.7 3000 74100 26816 1.6
Animal Husbandry (Rs./2 cattle) 35734 20 2400 48000 12266 1.3 Oyster Mushroom (Rs./qtl. compost used) 3183 55 4755 261525 1572 1.5 Button Mushroom (Rs./qtl. compost used) 4453 17 9857 167569 5404 2.2
Value addition (Rs./qtl. of button mushroom) 13092 1 22413 22413 9321 1.7
Total (Rs./ annum) 107517 - - 572007 50008 5.5
T Ct
NPV = Ʃ ------------- - Co
t = 1 (1+ r)t
Where, NPV= Net present value
Ct = Net cash inflow
Co = Initial investment
r = Discount rate, and
t = Number of time periods
(GR – TC)
RoI = ----------------
TC
Where, RoI = Return on investment in percentage
GR = Gross return and
TC = Total cost
S.
N
Socio-economic constraints Respondents
(%)
Rank
1 Sale of produce is quite difficult
because of unorganized marketing
infrastructure
23
(20.2)
I
2 Non-availability of substrates and
other basic raw materials when
needed
21
(18.4)
II
3 Lack of technical and financial
support for production and
management practices
20
(17.5)
III
4 Perishable nature of commodity
results in losses
14 (12.3) IV
5 Lack of education among villagers
about nutritional value of mushroom
12 (10.5) V
6 Erratic local demand for mushroom 10(8.8) VI
7 Poor are not consumers as it is costly 8(7.0) VII
8 People regard mushroom as a non-
vegetarian food
4(3.5) VIII
9 People misconceive it as Dog’s
umbrella or Snake’s umbrella and as
poisonous
2(1.8) IX
Mushroom production enhanced the livelihood security of marginal farmers through generating
average annual income of Rs. 18000 and 7% employment generation for hill farmers
Value addition technology can reduce the post harvest losses and increase shelf life of this most
demanded nutritionally rich commodity
Good marketing infrastructure, timely availability of necessary inputs, technological know how
and financial support to the farmers may encourage to adopt the technology in large scale and
increased production and productivity of the mushrooms.
Enterprises Annual
income
(Rs.)
Income
distribution
(%)
Annual
employment
generation
(Days)
Employment
generation (%)
NPV IRR
(%)
RoI
(%)
Agriculture 26816 48 180 55.2 117488.7 42 56.7
Animal Husbandry 12266 22 119 36.5 39635.3 20 34.3
Oyster Mushroom 1572 3.1 10 3.1 6476.3 35 81.3
Button Mushroom 5404 10.8 13 4 28752.2 101 36.1
Value addition 9321 17 4 1.2 44181.5 55 71.2 Total (`/ annum) 50008 100 326 100.0
Button mushroom production gave the highest B:C ratio (2.2) followed by value addition (1.7) which increases annual net return up to Rs. 50008 after
adopting these technologies.
By adopting the technology, farmers are able to increase there annual income up to 17 % by value addition in button mushroom
followed by button mushroom (10.8 %) and oyster mushroom production (3.1%).
Technology showed visible impact on annual employment generation (27 days) for marginal farmers and young youths of the hills.
Economic indicators like net present value, internal rate of return and return on investment showed positive impact.
The study showed that the adopted technology contributed on an
average 30.9% of share in annual income of the farmers
Farmers are able to generate additional employment of 8.3% in
overall agricultural activities by adoption of the technology
Unorganized market structure, non availability of basic raw
materials and lack of technical and financial support were major
constraints in adoption of this technology.
Singh, M., Vijay, B., Kamal, S. and Wakchure, G.C. 2011. Mushrooms cultivation, marketing and
consumption, Directirate of Mushroom Research, Chambaghat, Solan. 266 p.
Kharbikar, H. L., Mishra, K. K., Roy, M. L., Joshi, P. and Chandra, N. 2014. Economic analysis of
value addition in button mushroom: A case study in Almora district of Uttarakhand,. In: Agribusiness
Potentials in India. Ram Singh, Dibakar Naik & Feroze S. M. (Eds ). EBH Publishers, New Delhi. pp.
493-503.
48%
22%
3%
10%
17%
Share of different enterprises in
farmer's annual Income (%)
55% 37%
3% 4% 1%
Annual employment generation (%)
through different enterprises
Agriculture
Animal Husbandry
Oyster Mushroom
Button Mushroom
Value addition